District of Rhode Island

PROVIDENCE – Charles F. Denno, 67, of East Providence, a former finance director for the Providence Plan, was sentenced today to 33 months in federal prison for devising and executing a scheme in which he fraudulently converted $742,190.69 of Providence Plan funds for his personal use.

The Providence Plan is a non-profit educational entity, which receives federal, state and private grant funds, including funds from the United States Department of Education and the Bloomberg Family Foundation. These grant funds are to be used to support educational and other programs for adults and children in Rhode Island.  Annually, the federal grant funds awarded to the Providence Plan totaled in excess of four million dollars. 

 

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Denno to serve 3 years supervised release and to perform 100 hours of community service upon completion of his term of incarceration. Denno was ordered to pay $630,000 restitution to The Providence Plan. He pleaded guilty on March 22, 2017, to wire fraud.

 

The Federal Sentencing Guidelines range of imprisonment in this matter is 33 – 41 months. The government recommended the court impose a sentence of 33 months in prison.

 

Denno’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; Thomas Utz, Acting Special Agent in Charge of the U.S. Department of Education Office of Inspector General; and Harold H. Shaw, Special Agent in Charge of the FBI Boston Division.

At the time of his guilty plea, Denno admitted to the court that from November 2012 through July 2016, he used his authority to cause the U.S. Department of Education and the Bloomberg Family foundation to deposit funds into Providence Plan bank accounts, and then fraudulently converted funds to his own accounts and personal use. Denno admitted that he fraudulently prepared and issued Providence Plan checks made payable to CMG Enterprises, an entity he owned. The payments issued to CMG and deposited into a CMG bank account were not authorized and contained a forgery of the authorized check signing official at the Providence Plan. Denno subsequently made multiple withdrawals from the CMG bank account in various forms, including credit card payments, check payments and ATM cash withdrawals at Twin River Casino.

The matter, prosecuted by Assistant U.S. Attorney John P. McAdams, was investigated by the Rhode Island State Police Gaming Enforcement Unit, the U.S. Department of Education Office of Inspector General, and the FBI.

###

PROVIDENCE – Jonathan Breslin, 32, of Westerly, was ordered detained in federal custody following his initial appearance in federal court in Providence today before U.S. District Court Magistrate Judge Patricia A. Sullivan on a criminal complaint charging him with receiving and distributing child pornography; possessing and accessing with intent to view child pornography; transfer of obscene material to a minor via interstate commerce; and attempted production of child pornography.

 

Breslin was arrested earlier today following a federal court authorized search of his Westerly residence, and the seizure of a computer, a digital media storage device, and a cell phone allegedly containing child pornography. The search was conducted by agents from Homeland Security Investigations (HSI) and members of the Rhode Island State Police Internet Crimes Against Children Task Force, with the assistance of members of the Westerly and Warwick Police Departments.

 

Breslin’s arrest, initial appearance in U.S. District Court and detention are announced by Acting United States Attorney Stephen G. Dambruch; Matthew J. Etre, Special Agent in Charge of HSI for New England; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; Westerly Police Chief Richard G. Silva; and Warwick Police Chief Colonel Stephen M. McCartney.

 

According to court documents, it is alleged that in late March 2016, a law enforcement officer in Saskatchewan, Canada, arrested an individual in an unrelated matter. A search of a cell phone belonging to the individual resulted in the discovery of an online mobile chat application allegedly used to discuss and share child pornography images and videos to a network of users. A review by Saskatchewan law enforcement identified 78 unique users who allegedly shared and/or communicated about child pornography.

 

Information developed and records obtained by Canadian law enforcement through Canadian court orders were provided to HSI agents who, through further investigation, identified IP address in the United States that were allegedly used to participate in some of the conversations, and/or to upload and view child pornography. Among the IP address identified was one allegedly belonging to Breslin.

 

Further investigation by an HSI agent in Rhode Island included online chats between Breslin and the agent posing as an individual interested in discussing, viewing and sharing child pornography. It is alleged that Breslin discussed viewing, possessing and attempted production of child pornography.

 

A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

The case is being prosecuted by Assistant U.S. Attorney John P. McAdams.

The Rhode Island ICAC Task Force is comprised of members of the Rhode Island State Police Computer Crimes Unit along with detectives from the Warwick, Cranston, Newport, East Providence Police, Pawtucket, North Kingstown, Portsmouth and Woonsocket Police Departments and agents from Homeland Security Investigations and United States Postal Inspection Services.

 

###

PROVIDENCE – Ryan J. Lebrun, 24, of Pawtucket, was sentenced today to 180 months (15 years) in federal prison for possessing and distributing child pornography. According to court records, Lebrun, a registered sex offender, was previously convicted in Rhode Island state court in two unrelated child pornography cases.

At sentencing, U.S. District Judge John J. McConnell, Jr., also ordered Lebrun to serve 10 years supervised upon completion of his prison term. Lebrun pleaded guilty on February 14, 2017, to two counts of distribution of child pornography and one count of possession of child pornography.

The U.S. Sentencing Guidelines range of imprisonment in this matter is 180-188 months. The government recommended the court impose a sentence of 180 months in prison.

 

Lebrun’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.

According to court records and information presented to the court, in June 2015, while conducting an investigation into the sharing of child pornography, German law enforcement accepted an online solicitation on a Peer to Peer (P2P) file sharing program from an individual later identified as Ryan Lebrun. German authorities were able to access Lebrun’s files and library from which they downloaded several files of child pornography.

 In September 2015, HSI in Rhode Island was notified by HSI Cyber Crimes Center via Interpol, Wiesbaden, Germany, of Lebrun’s online activities. HSI agents in Rhode Island viewed Lebrun’s files and library, and identified approximately 21 images and 3 videos of child pornography.

In October 2015, it was learned that the FBI was also investigating Lebrun’s activities on the P2P file sharing program. The FBI also downloaded images of child pornography from Lebrun’s files and engaged in online chats with Lebrun.

Additionally, in October 2015, the Rhode Island State Police Internet Crimes Against Children (ICAC) task force received information from the National Center for Missing and Exploited Children regarding a Google email account that contained child pornography. The email account, which also contained an image of Lebrun, was determined by Rhode Island State Police to belong to Lebrun.

On November 9, 2015, HSI, FBI and a Rhode Island State Trooper assigned to the ICAC executed a court authorized search warrant at Lebrun’s Pawtucket residence. The search resulted in the seizure of, among other things, numerous electronic devices and digital storage cards. A forensic examination of the devices and storage cards identified more than 200 videos and 90 images of child pornography.

According to court records, Lebrun, a registered sex offender, was twice convicted in Rhode Island state court on child pornography charges. On April 16, 2011, Lebrun was arrested by the Warwick Police Department and charged with possession of child pornography. He pleaded guilty and on November 10, 2011, he was sentenced to 3 years of probation. On April 17, 2013, Lebrun was arrested by Rhode Island State Police and charged with possession and transfer of child pornography. He pleaded guilty and on November 20, 2013, was sentenced to 5 years of incarceration with 2 years to serve.

Lebrun has been detained in federal custody since his arrest on November 10, 2015.

The case was prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.

Acting United States Attorney Stephen G. Dambruch acknowledges and thanks the Warwick Police Department for their assistance in the investigation of this matter.

###

PROVIDENCE, R.I. – Paul Monteiro, a/k/a Peezy, 32, of Providence, was sentenced today to 144 months (12 years) in federal prison for transporting a 14-year-old Rhode Island girl to New Jersey for the purpose of engaging in commercial sexual activity.

Monteiro and the minor female were located in a hotel room in Franklin Township, New Jersey, on April 6, 2015, by agents and officers from Homeland Security Investigations (HSI), the FBI and Franklin Township police, five months after she was reported missing from a group home in Rhode Island.

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Monteiro to serve 5 years supervised release upon completion of his term of incarceration. The court deferred ruling on restitution to the victim to a later date. Monteiro pleaded guilty on October 6, 2016, to sex trafficking of a child.

The mandatory minimum sentence in this matter is 120 months imprisonment. The U.S. Sentencing Guidelines range of imprisonment in this matter is 151-188 months. The government recommended the court impose a sentence of 188 months in prison.

Monteiro’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England; and Harold H. Shaw, Special Agent in Charge of the FBI Boston Division.

In March 23, 2015, Rhode Island State Police detectives received information from the National Center for Missing and Exploited Children of a report of a juvenile female from Rhode Island who had allegedly been sexually molested by an adult male she met on Facebook. The investigation determined that the victim was a 14-year-old girl reported missing on November 20, 2014, from a group home in Rhode Island.

According to court documents, on April 6, 2015, Rhode Island State Police tracked a cell phone in the possession of the missing teenager to Franklin Township, New Jersey. Agents from HSI and the FBI, and police officers from Franklin Township located the missing girl and Paul Monteiro in a hotel room in Franklin Township. Monteiro was arrested by Franklin Township police on New Jersey state charges and detained.

 As a result of information provided to investigators by the victim, an HSI agent located a Backpage.com advertisement depicting the young girl and a solicitation for male companionship. The girl later confirmed for investigators that she was the person in the picture and that Monteiro arranged for her to participate in sex acts with at least two individuals who responded to the advertisement.

The case was prosecuted by Assistant U.S. Attorney John P. McAdams.

The United States Attorney’s Office acknowledges and thanks the Somerset County, New Jersey, Prosecutor’s Office for their assistance in ensuring the quick return of Paul Monteiro to Rhode Island for prosecution in U.S. District Court in Providence.

 

###

PROVIDENCE – Gregory Lee, 48, of Provincetown, MA, was ordered detained in federal custody following an initial appearance today in U.S. District Court in Providence on a criminal complaint charging him with possession with intent to distribute methamphetamine.

 

Lee was arrested by Warwick Police on Saturday after they allegedly seized more than 230 grams of methamphetamine from his vehicle.

 

According to an affidavit in support of a criminal complaint, it is alleged that Warwick Police received a call Saturday morning reporting that an individual was passed out in a vehicle parked in a retail store parking lot. After several attempts, an officer was able to roust Lee, who appeared nervous and then began to look around his vehicle, under his body and legs, and grab various items within the vehicle. An officer ordered Lee to exit the vehicle.

 

According to the affidavit, after Lee exited the vehicle, at least twice he allegedly attempted to the shield the interior of the vehicle from police. After allegedly denying he was in possession of any illegal narcotics, Lee agreed to allow the officers to search his vehicle. It is alleged in the affidavit that inside a backpack located on the front seat of the vehicle officers seized two large plastic bags, which tested positive for methamphetamine.  The bags of methamphetamine weighed 115.9 and 115.6 grams respectively. 

 

Lee’s arrest and detention are announced by Acting United States Attorney Stephen G. Dambruch and Warwick Police Chief Colonel Stephen M. McCartney.

 

A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

The case is being prosecuted by Assistant U.S. Attorney Ly T. Chin.

###

PROVIDENCE – According to signed documents filed today in U.S. District Court in Providence, Evan Speck, 34, of Charlestown, has agreed to plead guilty to an information charging him with possession with the intent to distribute steroids, distribution of a misbranded drug, and money laundering.

 

According to a plea agreement filed in this matter, in addition to pleading guilty to possession with the intent to distribute steroids, distribution of a misbranded drug, and money laundering, Speck will forfeit to the government 3 firearms and a total of $17,954 in cash seized during a court authorized search executed on March 20, 2017, during the investigation into this matter; and will, based on his narcotics trafficking, as charged in the information, forfeit a sum of money equal to the total value of forfeitable assets, in the amount of $536,000.

 

According to court documents, the government and Speck have agreed that for the purpose of calculating the appropriate sentencing guideline range, the amount of steroids relevant to count one of the information is the equivalent of 79.99 kilograms of marijuana; the defendant possessed a dangerous weapon in connection with drug trafficking; and the defendant distributed an anabolic steroid to an athlete.

An information is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

Today’s court filings are announced by Acting United States Attorney Stephen G. Dambruch; Jeffrey Ebersole, Special Agent in Charge of the New York Field Office of the U.S. Food and Drug Administration (FDA) Office of Criminal Investigations; Joel P. Garland, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation; Shelly A. Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England.

Possession with the intent to distribute steroids is punishable by statutory penalties up to 10 years imprisonment, a fine of $500,000, and a term of supervised release of 3 years. Distribution of a misbranded drug is punishable by statutory penalties up to 3 years imprisonment, a fine of $250,000, and a term of supervised release of 1 year. Money laundering is punishable by statutory penalties of up to 20 years imprisonment, a fine of $500,00, and a term of supervised release of 3 years.

The case is being prosecuted by Assistant U.S. Attorneys Dulce Donovan and Mary E. Rogers.

The matter was investigated by the Rhode Island FDA Office of Criminal Investigations Task Force, IRS Criminal Investigation, U.S. Postal Inspection Service and Homeland Security Investigations.

The Rhode Island FDA Office of Criminal Investigations Task Force is comprised of agents and officers from the FDA, IRS, DEA, HSI, Rhode Island State Police and the East Providence, North Providence and Westerly Police Departments.

###

PROVIDENCE – Robert Wilkins, 26, of West Warwick pleaded guilty today to federal heroin, cocaine and crack cocaine trafficking charges, announced Acting United States Attorney Stephen G. Dambruch; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.

 

Appearing before U.S. District Court Chief Judge William E. Smith, Wilkins pleaded guilty to one count each of conspiracy to deliver heroin, possession with the intent to deliver heroin, conspiracy to deliver 28 grams or more of cocaine base, possession with the intent to deliver cocaine base, possession with the intent to deliver cocaine, three counts of delivery of heroin, fifteen counts of delivery of cocaine base, and one count of bank fraud.

 

A codefendant in this matter, Christian M. Domenech, 23, of West Warwick, pleaded guilty on July 14, 2017, before U.S. District Court Chief Judge William E. Smith, to one count each of conspiracy to deliver heroin, possession with the intent to distribute heroin, possession with the intent to distribute cocaine, possession with the intent to distribute cocaine base, three counts of distribution of heroin, fifteen counts of delivery of cocaine base, and one count of bank fraud.

 

According to court documents and information presented to the court, a three-month investigation by the FBI Safe Streets Task Force into the defendants’ drug trafficking activity included numerous purchases from the defendants of between one gram and seven grams of crack cocaine and heroin for between $80 dollars and $350 dollars. Each transaction was monitored by law enforcement.

Additionally, a Rhode Island State Police Financial Crimes Unit investigation determined that beginning in December 2015, the defendants created and deposited bogus checks into bank accounts each established, and withdrew some of those funds. The investigation determined that Christian Domenech deposited a total of $10,000 in bogus checks and withdrew $2,000 in cash. Robert Wilkins deposited a total of $10,000 in bogus checks and withdrew a total of $2,099.55.

On July 12, 2016, FBI Safe Street Task Force agents, with the assistance of the West Warwick Police Department and the DEA, executed a court authorized search of the defendants’ West Warwick residence. Varying quantities of cocaine, crack cocaine, and heroin was seized, along with approximately $800 in cash. Law enforcement also seized two vehicles.

Robert Wilkins and Christian Domenech, who have been detained in federal custody since their arrest, are scheduled to be sentenced on October 20, 2017.

The case is being prosecuted by Assistant U.S. Attorney Ronald R. Gendron.

###

PROVIDENCE – According to documents filed in U.S. District Court in Providence, Richard F. Woodhead, 54, of South Attleboro, Mass., has agreed to plead guilty to an information charging him with attempted receipt of child pornography, announced Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England.

Woodhead was arrested on April 6, 2017, by Homeland Security Investigation agents and members of the Rhode Island State Police Internet Crimes Against Children Task Force following a court authorized search of his residence.

According to court documents, Woodhead and the government agree to the facts that he used a computer to store and view material involving a prepubescent minor or a minor who has not attained the age of 12; the offense involved between 10 but less than 150 images; and that he caused, transported, permitted or sought a minor to engage in sexually explicit conduct for the purpose of producing child pornography.

Attempted receipt of child pornography is punishable by statutory penalties of between 5-20 years imprisonment followed by a term of up to lifetime supervised, and a fine of $250,000.

This case is being prosecuted by Assistant U.S. Attorney Sandra R. Hebert.

###

PROVIDENCE – Randy Lutz, 35, of Providence, a former employee of a non-profit medical provider in Providence, was ordered detained in federal custody today on extortion charges. It is alleged that Lutz attempted to extort payment from his former employer in return for property and information belonging to the agency.

 

Lutz was arrested this afternoon on a federal criminal complaint charging him with one count of interference with commerce by extortion and one count of use of interstate facility (email) to carry out extortion. Lutz made an initial appearance in U.S. District Court before U.S. Magistrate Judge Patricia A. Sullivan.

 

Randy Lutz’s arrest and initial appearance are announced by Acting United States Attorney Stephen G. Dambruch and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division.

 

As part of the on-going investigation into this matter, on July 20, 2017, FBI agents and task force officers executed a court authorized search of Lutz’s residence. During the search, four thumb drives, a laptop computer and cell phone were seized.

 

According to information presented to the court, it is alleged that after the search of Lutz’s residence was completed and members of law enforcement had left the residence, Lutz telephoned an officer of the agency at which he was previously employed and emailed a high-ranking officer at Lifespan to further discuss the matter.

 

A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.

Acting United States Attorney Stephen G. Dambruch and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division acknowledge and thank the Providence Police Department for their assistance in the investigation of this matter.

 

###

 

PROVIDENCE – Christopher Hayes, 49, of Middletown, R.I., a former Newport, R.I., Police Department Sergeant and President of the Fraternal Order of Police (FOP), Newport Lodge No. 8, was sentenced today to a total sentence of 12 months, 6 months imprisonment followed by 6 months of home confinement, for using FOP funds for personal use.

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Hayes to serve 3 years supervised release upon completion of his term of incarceration; pay $71,523 restitution to the FOP; and perform a total of 300 hours of community service during his term of supervised release. The U.S. Sentencing Guidelines range in this matter is 12-18 month. The government recommended the court impose a sentence of 12 months in prison.

Hayes pleaded guilty on May 1, 2017, to wire fraud. At the time of his guilty plea, Hayes admitted to the court that between August 2009 and December 2014, he used an FOP debit card to pay for his own personal expenses; wrote checks payable to himself from the FOP bank account; withdrew cash from the FOP bank account for personal use; and made online payments to his personal credit card from the FOP bank account.

An investigation by the United States Attorney’s Office, U.S. Department of Labor – Office of Inspector General and Office of Labor Management Standards, and the Rhode Island State Police determined that Hayes fraudulently converted approximately $71,523 in FOP funds for his own personal use.

The case was prosecuted by Assistant U.S. Attorney John P. McAdams.

###

PROVIDENCE – Gerald Kent, 51, of Groton, CT, owner and operator of Kent Jewelry in Johnston, RI., made an initial appearance in U.S. District Court in Providence today and was ordered detained in federal custody, charged by way of a criminal complaint with wire fraud and aggravated identity theft.

It is alleged in court documents that Kent, through his company, which primarily sells jewelry on the internet using websites such as Groupon.com and Zulily.com, orchestrated a long running, multi-million dollar fraud scheme that defrauded a debtor finance company of more than $3.6 million dollars.

The charges are announced by Acting United States Attorney Stephen G. Dambruch; Brian Deck, Resident Agent in Charge of the Providence Office of the U.S. Secret Service; and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division.

According to an affidavit in support of the criminal complaint, it is alleged that Kent submitted fraudulent invoices to a factoring (debtor finance) company based in Chicago, Ill., mostly from Groupon and Zulily, which resulted in payments to Kent of nearly $5 million dollars.

According to the affidavit, it is alleged that to execute the fraud scheme, Kent created hundreds of fraudulent invoices which were submitted to the factoring company for which he received payment; created and used a fraudulent clone of Groupon, Inc.’s website; enlisted coconspirators to pose as Groupon employees; and opened bank accounts in the names of Groupon and Zulily, Inc., in order to deceive the debtor finance company into believing it was receiving payments from these companies.

Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount.  Factoring companies work with businesses to provide working capital in order to grow their businesses without having to wait for outstanding accounts receivables to be paid.

Kent, who was arrested on Wednesday evening at Foxwoods, appeared today before U.S. District Court Magistrate Judge Patricia A. Sullivan and was ordered detained pending a detention hearing on July 26, 2017.

A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

The case is being prosecuted by Assistant U.S. Attorneys Lee H. Vilker and John P. McAdams.

The matter was investigated by agents from the U.S. Secret Service and the FBI.

###

PROVIDENCE – Sandro Martinez, 41, of Providence, today was ordered detained in federal custody on drug trafficking and firearm charges. Martinez was arrested on Wednesday by members of the Rhode Island Drug Enforcement Agency Task Force following the seizure of more than 650 grams of suspected fentanyl, more than 6 kilograms of a powdery substance suspected to be cocaine, heroin and/or fentanyl, and a loaded firearm.

 

Martinez’s arrest and the execution of court authorized search warrants on Wednesday at an alleged drug stash house in Cranston, and at Martinez’s residence and business in Providence, follow a 10-month DEA drug task force investigation into Martinez’s alleged drug trafficking activities.

 

Martinez’s arrest and initial appearance in federal court on charges of possession with the intent to distribute cocaine, heroin and fentanyl, and felon in possession of a firearm are announced by Acting United States Attorney Stephen G. Dambruch and Michael J. Ferguson, Special Agent in Charge of the DEA’s New England Field Division.

 

According to court documents, it is alleged that on numerous occasions over the past 10 months individuals assisting the DEA drug task force in their investigation made controlled purchases of fentanyl, cocaine and heroin from Martinez totaling in excess of 100 grams. As a result of these alleged purchases and a significant amount of information gather by law enforcement during the investigation, the court authorized the search of an alleged stash house in Cranston allegedly used by Martinez for his drug trafficking activities, his Providence residence, his Providence business, and two vehicles.

 

On Wednesday, members of the DEA drug task force, with additional assistance from the Woonsocket, Cranston and Providence Police Departments, executed four of the search warrants. As law enforcement prepared to execute a search of the alleged stash house, agents and officers encountered and detained Martinez outside the building. From his person they allegedly seized nearly 103 grams of suspected fentanyl concealed inside his clothing. From inside the alleged stash house law enforcement seized approximately 6 kilograms of suspected cocaine and fentanyl, and a loaded firearm from inside a hidden compartment in a television stand; and nearly 573 grams of suspected fentanyl from a closet ceiling.

 

A search of Martinez’s business, residence and an automobile did not result in the seizure of any additional drugs. Law enforcement did discover an empty electronic hidden compartment inside of furniture at Martinez’s residence.

 

A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

The case is being prosecuted by Assistant U.S. Attorney Gerard B. Sullivan

 

###

PROVIDENCE, R.I. – Joseph W. Lavoie, a/k/a Tammy M. Lavoie, 49, formerly of Providence, was sentenced today to 60 months in federal prison for robbing and setting fire to a bank in North Providence on July 6, 2016, announced Acting United States Attorney Stephen G. Dambruch, Acting North Providence Police Chief Christopher J. Pelagio, and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division.

At sentencing, U.S. District Court Judge John J. McConnell also ordered Lavoie to serve 3 years supervised release upon completion of his prison term and to pay $30,256. 80 in restitution to repair damage to the bank and to replace currency lost as the result of the fire. The U.S. Sentencing Guidelines range of imprisonment in this matter is 70-87 months. The government recommended the court impose a sentence of 60 months in prison.

Lavoie pleaded guilty on April 26, 2017, to bank robbery by force or violence and use of fire to damage property used in interstate commerce.

According to court documents and information presented to the court, on July 6, 2016, Lavoie telephoned the FBI and threatened to rob and burn down a bank. Lavoie made the call while at the North Providence branch office of Citizens Bank. Lavoie made the call moments before he jumped over a counter and announced to a teller, “This is a robbery.”  Lavoie opened a cash drawer and began removing cash. During the robbery, Lavoie assaulted and threatened a female teller, and then ignited several items inside the bank.

North Providence Police Department patrol units were dispatched to the bank while the robbery was in progress. Officers entered the bank where they encountered and detained Lavoie who was located standing behind the teller counter.

The case was prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.

###

PROVIDENCE – Stephen T. Ferrante, 62, of East Greenwich, was sentenced today to 120 months in federal prison for attempting to persuade, induce, entice or coerce a minor to engage in sexual activity, announced Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations for New England.

 

At sentencing, U.S. District Court Judge John J. McConnell, Jr., also ordered Ferrante to serve 5 years of supervised release upon completion of his term of incarceration. The U.S. Sentencing Guidelines range of imprisonment in this matter is 168-210 months. The government and defendant jointly recommended the court impose a sentence of 120 months in prison.

Ferrante pleaded guilty on April 26, 2017, to use of any facility or means of interstate or foreign commerce to persuade, induce, entice or coerce a minor to engage in sexual activity.

At the time of his guilty plea, Ferrante admitted to the court that in January 2017, he communicated online, by text message and by telephone with an individual he believed to be arranging for him to have sexual contact with an 8-year-old girl.

 

 Ferrante was arrested by members of the Rhode Island State Police Internet Crimes Against Children Task Force and Homeland Security Investigations agents, on January 12, 2017, when he arrived at a pre-determined location in Warwick where he believed he would be meeting with that person.

 

Ferrante has been detained since his arrest.

 

The case was prosecuted by Assistant U.S. Attorney Lee H. Vilker.

###

PROVIDENCE – Acting United States Attorney Stephen G. Dambruch today applauded the passage and enactment of legislation in Rhode Island that will permit a limited number of qualified federal law enforcement agencies and the Rhode Island Attorney General’s Medicaid Fraud Unit to receive information through the Rhode Island Department of Health from the Department of Health’s Prescription Drug Monitoring Program (PDMP). 

The PDMP is an electronic database maintained by the Rhode Island Department of Health that catalogs data concerning prescriptions written and filled, including the drug and quantity prescribed.  The stated purposes of the PDMP include “help[ing] detect overprescribing, and diversion or fraud related to prescription of controlled substances.” 

The legislation signed into law by the Governor on Wednesday, permits the Department of Health to provide certain requested information from the PDMP to the U.S. Food & Drug Administration, the U.S. Drug Enforcement Administration, Federal Bureau of Investigation, Office of Health and Human Services - Office of Inspector General, and the Attorney General’s Medicaid Fraud Unit. This legislation brings Rhode Island into line with almost thirty other states, including Massachusetts and Connecticut, where PDMP information has long been readily available to law enforcement.

 Acting U.S. Attorney Stephen G. Dambruch commented, “The PDMP is an important tool in combating the opioid crisis; PDMP data will assist investigators with identifying, investigating and apprehending individuals or providers engaged in the unlawful diversion of prescription opiates.”

Acting U.S. Attorney Dambruch added, “Thousands of Rhode Islanders are being impacted by the scourge of drug addiction and a wave of drug overdose deaths that continues to sweep through our state and nation. Hundreds of our relatives, our friends, our neighbors are dying each year from this disease. Thousands more have been or are being treated. Countless more are in need of treatment. Better access to PDMP data is an important addition to the investigative tool box used to hold those accountable who knowingly and illegally make opioid prescription drugs readily available for abuse.”

 

###

PROVIDENCE – Anthony M. Thompson, 39, of Charlotte, NC, was arraigned and ordered detained in federal custody today on a federal grand jury indictment returned on Tuesday charging him with being a felon in possession of firearms, possession with the intent to distribute methylenedioxymethamphetamine (MDMA, Ecstasy), and possession of a firearm in furtherance of a drug trafficking crime.

 

Rhode Island State Police arrested Thompson on June 20, 2017, following a traffic stop on Rte. 95 during which it is alleged that a cache of loaded, high-powered firearms, camouflage equipment, night-vision goggles, and more than 400 grams of suspected Ecstasy were seized from Thompson’s vehicle.

 

At the time of his arrest, it was alleged that Thompson, while being questioned outside of his vehicle by a trooper about information he allegedly provided to the trooper regarding his criminal record, shoved the trooper and took off running in the travel lane, against the traffic. After he allegedly failed to respond to commands to stop, including warnings that he would be Tasered, Thompson was Tasered, halted and arrested.

 

Thompson appeared today before U.S. District Court Magistrate Judge Lincoln D. Almond. A not guilty plea was entered. Thompson was returned to the ACI where he has been detained on Rhode Island state charges brought in this matter.

 

Acting United States Attorney Stephen G. Dambruch and Colonel Ann C. Assumpico thank the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Rhode Island Department of Attorney General for their assistance with this matter.

 

The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah.

 

###

PROVIDENCE – Rasheed Abiodun Akanni, 42, a Nigerian national convicted in federal court of entering into a marriage with a U.S. citizen for the purpose of evading deportation, making false statements to a federal officer and failure to appear before the U.S. District Court as required by conditions of release, was sentenced today to 12 months in federal prison. Akanni will face deportation proceedings upon completion of his term of incarceration.

 

Akanni was convicted on April 20, 2017, as charged in indictments returned by federal grand juries on September 13, 2016, and April 6, 2017.

 

Rasheed Abiodun Akanni’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations for New England; and Denis Riordan, District Director of U.S. Citizenship and Immigration Services (USCIS).

The U.S. Sentencing Guidelines range of imprisonment in this matter is 12-18 months. The government recommended the court impose a sentence of 12 months in prison.

According to the government’s evidence presented during a three-day bench trial, Akanni entered the United States from Nigeria on June 3, 2003, on a six-month visitor for pleasure visa. He never left the United States and made several unsuccessful attempts to gain legal status.

On July 13, 2007, Akanni filed for lawful permanent resident status as the spouse of an American woman. The woman later withdrew her support for Akanni’s application. On November 23, 2010, Akanni filed a petition for asylum, which stayed removal proceedings.

In the fall of 2012, Akanni began a relationship with an American woman and was married in a civil ceremony on February 14, 2013. Akanni and his wife continued to live in separate residences until jointly renting an apartment in June 2013. However, Akanni’s wife told investigators that he only stayed at their joint residence on average three or four nights a week. After two months, Akanni’s wife instructed Akanni to move out of their joint residence. 

In October 2013, Akanni informed his wife that he would be filing an application for lawful permanent residence based on their marriage. His wife testified at trial that she was unaware that her husband was not a legal resident of the United States, but that she agreed to support his application for legal status. In September 2014, USCIS officers interviewed Akanni and his wife separately. On May 6, 2015, USCIS officers again interviewed both individuals separately. Further investigation determined that Akanni and his wife gave conflicting answers during the second interview as to the state of their marriage. While Akanni’s wife told USCIS investigators that her marriage to Akanni was not good and that she would be seeking a divorce, Akanni made false statements to the officers as to the state of his marriage and his residence. Akanni claimed that he resided with his wife and that the residence he was at on the day he was interviewed was his sisters. The investigation determined that Akanni actually shared the residence with a woman with whom he fathered a child. The child was born on February 13, 2016.

On September 13, 2016, a federal grand jury indicted Akanni on charges of entering into a marriage with a U.S. citizen for the purpose of evading deportation and making false statements to a federal officer. Akanni was arraigned on September 14, 2016, and released on unsecured bond. Among the conditions set by the court for his release, Akanni was ordered to appear for trial in U.S. District Court on a trial date to be set by the court. The court scheduled the trial to begin on January 30, 2017. Akanni failed to appear in court for his trial, and an arrest warrant was issued by the court.

In the early morning hours of January 31, 2017, Akanni was stopped attempting to enter Canada by officers from the Canada Border Service Agency. At the border, Akanni provided an American passport in another person’s name. Canadian officers returned him to the U.S. Customs and Border Patrol checkpoint in Lewiston, N.Y. U.S. Marshals later returned Akanni to Rhode Island where he remained in federal custody. On April 6, 2017, a federal grand jury returned an indictment charging Rasheed Abiodun Akanni with failure to appear before the U.S. District Court for trial.

Acting United States Attorney Stephen G. Dambruch thanks the U.S. Customs & Border Protection Service in Buffalo, N.Y. for their assistance in this matter.

Assistant U.S. Attorney Zechariah Chafee prosecuted the case.

On April 11, 2017, pursuant to a memo from Attorney General Jeff Sessions, Assistant U.S. Attorney Zechariah Chafee was appointed Border Security Coordinator for the United States Attorney’s Office for the District of Rhode Island. Attorney General Sessions instructed each United States Attorney’s Office to designate a Border Security Coordinator to coordinate the District’s commitment to criminal immigration enforcement.

 

###

PROVIDENCE – Christian M. Domenech, 24, of West Warwick, pleaded guilty today to federal heroin, cocaine and crack cocaine trafficking charges and to bank fraud, announced Acting United States Attorney Stephen G. Dambruch; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.

 

A co-defendant in this matter, Robert Wilkins, 25, of West Warwick has agreed to plead guilty in this matter, and is scheduled to appear in U.S. District Court for a change-of-plea hearing on July 28, 2017.

 

Appearing before U.S. District Court Chief Judge William E. Smith today, Domenech pleaded guilty to one count of conspiracy to deliver heroin; three counts of delivery of heroin; fifteen counts of delivery of crack cocaine; one count of possession with the intent to distribute heroin; one count of possession with the intent to deliver cocaine; one count of possession with the intent to deliver crack cocaine; and one count of bank fraud.

 

Domenech is scheduled to be sentenced on October 20, 2017.

 

According to court documents, a three-month investigation by the FBI Safe Streets Task Force into Domenech and Wilkins’ alleged drug trafficking activity included numerous purchases from the defendants of between one gram and seven grams of crack cocaine and heroin for between $80 dollars and $350 dollars. Each alleged transaction was monitored by law enforcement.

Additionally, according to court documents, a Rhode Island State Police Financial Crimes Unit investigation determined that beginning in December 2015, the defendants allegedly created and deposited bogus checks into bank accounts each established, and withdrew some of those funds. It is alleged that Christian Domenech deposited a total of $10,000 in bogus checks and withdrew $2,000 in cash. It is alleged that Robert Wilkins deposited a total of $10,000 in bogus checks and withdrew at total of $2,099.55.

On July 12, 2016, FBI Safe Street Task Force agents, with the assistance of the West Warwick Police Department and the DEA, executed a court authorized search of the defendants’ Church Street, West Warwick residence. Varying quantities of cocaine, crack cocaine, and heroin were seized, along with approximately $800 in cash. Law enforcement also seized two vehicles.

Domenech and Wilkins have been detained since their arrest.

The case is being prosecuted by Assistant U.S. Attorney Ronald R. Gendron.

The FBI’s Safe Streets Violent Gang Task Force consists of agents and law enforcement officers from the FBI, RI State Police, Providence, Cranston, Woonsocket, and Central Falls Police Departments and the Rhode Island Department of Corrections.

Acting United States Attorney Stephen G. Dambruch; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police thank the West Warwick Police Department and the DEA for their assistance in the investigation of this matter.

 

###

PROVIDENCE – Lenin Gutierrez, 40, of Cranston, was sentenced today to 41 months in federal prison for robbing a bank branch office located inside a Johnston supermarket on December 30, 2016, announced Acting United States Attorney Stephen G. Dambruch, Johnston Police Chief Richard S. Tamburini and Harold H. Shaw, Special Agent in Charge of the Boston Division of the FBI.

 

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Gutierrez to serve 3 years supervised release upon completion of his prison sentence and to pay $2,500 restitution to Citizens Bank. Gutierrez pleaded guilty on April 27, 2017, to bank robbery, as charged in a federal indictment returned on January 26, 2017. No plea agreement was filed in this matter.

 

The U.S. Sentencing Guidelines range of imprisonment in this matter is 41-51months. The government recommended the court impose a sentence of 41 months in prison.

 

At the time of his guilty plea, Gutierrez admitted to the court that on December 30, 2016, he entered a Citizens Bank branch office inside a Johnston supermarket while dressed in a beige jacket, black facemask, and a Spiderman hat and scarf. Gutierrez admitted that he handed a bank teller a hand-written note demanding cash and threatening to shoot the teller if the money was not handed over. After the teller gave Gutierrez $100 and $50 dollar bills, Gutierrez demanded more money. The teller then handed over $20 bills.

 

Gutierrez left the bank without showing a weapon.

 

According to court documents, responding Johnston Police officers searched the immediate area and located the black facemask, Spiderman hat and scarf, and beige jacket worn by Gutierrez during the robbery. Inside the jacket, officers located a note that said, “Robbery $100 and $50 Stacks only No die pack No Allarm. have A gun will use.” An outer pocket contained a stack of $20 bills. Officers did not locate a firearm.

 

According to court documents, a fingerprint lifted from the note by Johnston Police detectives was matched to Lenin Gutierrez. Gutierrez has been detained since his arrest on January 5, 2017.

 

The case was prosecuted by Assistant U.S. Attorney Ly T. Chin.

 

The FBI assisted Johnston Police in the investigation of this matter.

 

###

PROVIDENCE –  Bassam K. Naiefeh, 48, of Cranston, owner of AAA Gas Mart in Cranston, was sentenced today to 12 months and 1 day in federal prison for conspiracy to possess and distribute oxycodone, and for being a felon in possession of a firearm, announced Acting United States Attorney Stephen G. Dambruch and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division.

 

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Naiefeh to serve 3 years supervised release and to perform 300 hours of community service upon completion of his prison sentence. Naiefeh pleaded guilty on March 22, 2017, to one count of conspiracy to distribute and possess with the intent to distribute oxycodone, and one count of being a felon in possession of a firearm.

 

The U.S. Sentencing Guidelines range of imprisonment in this matter is 41-51 months. The government recommended the court impose a sentence of 41 months in prison.

 

According to information presented to the court, between April and November 2016 , DEA Drug Task Force undercover agents made 8 controlled purchases of oxycodone from Naiefeh and a co-conspirator acting at his direction. In total, DEA agents purchased 560 oxycodone tablets.

 

On November 14, 2016, DEA agents and other members of law enforcement executed a court authorized search of Naiefeh’s business and seized additional narcotics and a .32 caliber revolver. Naiefeh was arrested.

 

According to court records, Naiefeh was previously convicted in Rhode Island state court of a crime punishable by a term of imprisonment exceeding one year.

 

The case was prosecuted by Assistant U.S. Attorney Dulce Donovan.

 

###

PROVIDENCE – A North Carolina resident arrested by Rhode Island State Police on June 20, 2017, following a traffic stop which resulted in the seizure of a cache of loaded, high-powered firearms, camouflage equipment, night-vision goggles, and 443 grams of suspected methylenedioxymethamphetamine (MDMA, with street names of Molly and Ecstasy) was charged today by way of a federal criminal complaint in U.S. District Court in Providence with firearms and drug trafficking charges.

 

Acting United States Attorney Stephen G. Dambruch and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police, announced today the filing of a federal criminal complaint charging Anthony Mondrez Thompson, 39, of Charlotte, NC, with being a felon in possession of firearms, possession with the intent to distribute 50 grams or more of MDMA, and possession of a firearm in furtherance of a drug trafficking crime.

 

According to an affidavit filed with the court in support of the criminal complaint, during the traffic stop it is alleged that Thompson, the only person in the vehicle, denied having firearms or illicit drugs in the vehicle, and denied having been previously convicted of a crime. During a check of the driver’s license and car registration provided by Thompson, and a criminal history check, the trooper learned that in fact Thompson has a lengthy criminal record, including convictions in federal and state courts in North Carolina on firearms and drug trafficking charges.

 

According to the affidavit, after agreeing to exit the vehicle and while being questioned by a trooper outside of the rear of the vehicle, it is alleged that Thompson shoved a trooper into a travel lane of the highway, and then he ran into the highway and began running in a travel lane opposite the direction of oncoming traffic. After ignoring verbal warnings to stop and repeated warnings of the possible use of a Taser, the trooper discharged his Taser causing Thompson to fall to the ground where he was placed under arrest.

 

According to the affidavit, it is alleged that searches of the vehicle at the scene of the traffic stop and later at the State Police barracks troopers discovered and seized eight high-powered pistols, a revolver, two AR-15-style assault rifles, numerous high-capacity rifle and pistol magazines, boxes of ammunition, military-issued smoke grenades, holsters, camouflage gear and masks, night vision goggles and a Taser. It is alleged that troopers also seized approximately 443 grams of MDMA.

 

Thompson, who is presently being held in state custody on firearms, drug, assault and resisting arrest charges, will make an initial appearance in U.S. District Court at a later date.

 

Acting United States Attorney Stephen G. Dambruch and Colonel Ann C. Assumpico thank the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Rhode Island Department of Attorney General for their assistance with this matter.

 

The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah.

 

###

PROVIDENCE, R.I. – Nimon Naphaeng, 36, a native and citizen of Thailand, who resided in Wakefield, R.I., was sentenced Monday to 27 months in federal prison for running an immigration fraud scheme that defrauded more than 320 individuals, most of them immigrants, of at least $400,000, and perhaps as much as in excess of $518,000.

The scheme included the unauthorized filing of false asylum applications on behalf of individuals who did not request nor authorize the applications.

At sentencing, U.S. District Court Chief Judge William E. Smith ordered a provisional amount of restitution of $400,000. The final amount of restitution will be determined subject to additional victims being identified and additional court filings over the next 90 days. According to court documents already filed by the government, restitution in this matter may exceed $518,300. During the investigation, the government seized $285,789.31 from Naphaeng. The forfeited funds will be applied toward restitution for victims of Naphaeng’s crimes.

The government and the defense recommended to the court a sentence of 18 months incarceration. The U.S. Sentencing Guideline range of imprisonment in this matter is 27-33 months.

Naphaeng, who was arrested and ordered detained on February 22, 2105, faces deportation proceedings upon completion of his prison sentence.

Nimon Naphaeng’s sentence is announced by Acting United States Attorney Stephen G. Dambruch and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations for New England.

Naphaeng previously admitted to the court that from August 2014 through December 2015, for a fee of between approximately $1,500 and $2,500 per applicant, he filed false asylum applications thereby securing the right of the applicant to remain in the United States. By doing so, applicants were eligible to obtain an Employment Authorization Document (“EAD card”) and as a result, further government benefits including a social security number, driver’s license, and if otherwise qualified, financial benefits.

Naphaeng admitted to the court that to execute the scheme, he advertised on the Internet and in flyers posted in Thai restaurants around the United States that, in addition to helping with tax returns, he could obtain EAD cards for Thai nationals. Naphaeng admitted that he never told his clients that he would file asylum applications on their behalf in order to obtain the EAD card. 

To execute the scheme, Naphaeng had applicants supply him with vital personal information including their name and date of birth, photographs, and a copy of the biographical page from their passport. He would then file a false asylum application without the knowledge of the applicant in order to obtain the promised documents.

Naphaeng pleaded guilty on February 6, 2017, to seven (7) counts of mail fraud and two (2) counts of visa fraud.

The case was prosecuted by Assistant U.S. Attorneys Richard W. Rose and Mary E. Rogers.

The matter was investigated by Homeland Security Investigations and the United States Attorney’s Office. Acting United States Attorney Stephen G. Dambruch thanks the U.S. Citizenship and Immigration Services - Fraud Detection National Security Asylum Office, Newark, N.J., and the Warwick, R.I., Police Department for their substantial assistance in the investigation of this matter.

###

PROVIDENCE – David A. Skally, 58, of Providence, was sentenced today to 30 months in federal prison for possessing and accessing child pornography with the intent to view, announced Acting United States Attorney Stephen G. Dambruch; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Skally to serve 5 years supervised release upon completion of his prison term and to pay a mandatory $5,000 special assessment pursuant to the Justice for Victims of Trafficking Act of 2015.

The U.S. Sentencing Guidelines in this matter provide for a sentence of 51-63 months of imprisonment. The government recommended the court impose a sentence of 46 months of incarceration.

The Justice for Victims of Trafficking Act of 2015 requires non-indigent defendants convicted of child exploitation, child pornography, human trafficking, and human smuggling offenses to pay a $5,000 fine in addition to any other penalties imposed. The money from these fines are deposited into a “Domestic Trafficking Victims’ Fund” to supplement programs that provide victims’ services to domestic human trafficking victims, and provide law enforcement with resources to investigate and combat modern-day slavery.

David Skally pleaded guilty on December 20, 2016, to possessing and accessing child pornography with the intent to view. He was arrested on July 11, 2016.

According to information presented to the court, in September 2015, the HSI Child Exploitation Unit became involved in a child pornography investigation into multiple individuals, believed to be residing across the United States as well as abroad, and who are members of an Internet-based bulletin board. Users of the bulletin board were provided a link to a file sharing site from which child pornography could be accessed, viewed and downloaded.   

A court authorized search of the defendant’s computers at his residence in June 2016 by members of HSI and the Rhode Island State Police Internet Crimes Against Children Task Force resulted in the discovery of child pornography. A further forensic examination of the computers resulted in the discovery of approximately 284 videos and 418 images of child pornography.

The case was prosecuted by Assistant U.S. Attorney John P. McAdams.

###

PROVIDENCE, R.I. – Justice Reyes, 20, of Pawtucket, was sentenced today to time served, 14 months in federal prison, for possession of a firearm with an obliterated serial number, announced Acting United States Attorney Stephen G. Dambruch and Mickey Leadingham, Special Agent in Charge of the Boston Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).

At the time of his guilty plea, Reyes admitted to the court that on April 1, 2016, he sold the firearm to an undercover ATF agent while outside of his residence. Reyes was serving a Rhode Island state court imposed sentence of home confinement at the time he sold the firearm to the agent.

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Reyes to serve 3 years supervised release upon completion of his term of imprisonment. Reyes pleaded guilty on February 21, 2017.

The U.S. Sentencing Guidelines imprisonment range in this matter is 33–41 months. The government recommended the court impose a term of incarceration of 33 months.

According to information presented to the court, on April 1, 2016, an undercover ATF agent bought a .22 caliber semi-automatic rifle from Reyes for $350.  Reyes specified that the serial number had been obliterated, and that he could get the undercover and the undercover’s associates additional guns with obliterated serial numbers. 

According to Rhode Island state court records, Reyes was sentenced on March 17, 2016, to one year home confinement for violating a suspended sentence imposed on January 29, 2016, having pleaded nolo contendre to a charge of simple assault domestic. Reyes began serving his home confinement sentence two weeks prior to selling the firearm to the ATF agent.

The case was prosecuted by Assistant U.S. Attorney Milind M. Shah.

The matter was investigated by ATF and the Rhode Island AFT Task Force. Acting United States Attorney Stephen G. Dambruch thanks the Pawtucket Police Department for their assistance in the investigation of this matter.

###

PROVIDENCE, R.I. – The former owner of a Providence convenience store who admitted to masterminding a $1.1 million dollar scheme to defraud the Supplemental Nutrition Assistance Program (SNAP) has been sentenced to 31 months in federal prison, after a court imposed sentence of five-year probation with intermittent confinement was revoked at the government’s request.

In October 2016, Sami Almuhtaseb, 46, of Providence, a former owner of Oasis Market in Providence, was sentenced to five years probation with 730 days intermittent confinement at the Wyatt Detention Center. The intermittent sentence was imposed to permit Almuhtaseb to continue to operate his business. It was later determined by investigators that prior to sentencing, Almuhtaseb had divested himself of his businesses, a fact that he failed to disclose to the court, U.S. Probation or the United States Attorney’s Office at sentencing.

At the government’s request, the court revoked Almuhtaseb’s probation for committing fraud on the court, and sentenced him to federal prison. At the June 30, 2017 sentencing, U.S. District Court Chief Judge William E. Smith also ordered Almuhtaseb to serve 3 years supervised release upon completion of his prison term and to pay restitution to SNAP in the amount of $1,188,729. Almuhtaseb pleaded guilty on April 15, 2016, to conspiracy to commit Supplemental Nutrition Assistance Program fraud and money laundering.

The U.S. Sentencing Guideline range revised to reflect the defendant’s obstruction of justice in this matter is 37- 46 months imprisonment. The government recommended a sentence of 37 months imprisonment.

Almuhtaseb’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Bethanne M. Dinkins, Special Agent in Charge of the Northeast Region of the United States Department of Agriculture Office of Inspector General; and Harold H. Shaw, Special Agent in Charge of the Boston Field Office of the FBI.

According to court documents, between November 2009 and December 2015, the defendant’s store redeemed $2,755,125 in SNAP benefits. Over $1,259,320, or 45% of the food stamp transactions, were for transactions of $100 or more. Over 72% of the SNAP transactions at the store were from transactions in excess of $50. Legitimate SNAP transactions at a convenience store rarely involve a transaction of $50 or more. 

An investigation by the United States Attorney’s Office, the Department of Agriculture Office of Inspector General and the FBI determined that at least $1.1 million dollars of SNAP funds received by Almuhtaseb were the result of fraudulent transactions. These fraudulently obtained funds were deposited into bank accounts controlled by Almuhtaseb, from which the defendant withdrew over $770,000 in cash or checks payable to himself.

An analysis of bank records performed by the FBI revealed that Almuhtaseb used a significant portion of fraudulently obtained funds to gamble, acquire real estate and pay for personal entertainment expenses. The FBI analysis showed that among the expenditures, Almuhtaseb used nearly $200,000 of fraudulently gained funds at casinos, paid over $160,000 in mortgages, and used at least $35,000 for entertainment, credit card bills and shopping.

The case was prosecuted by Assistant U.S. Attorney Sandra R. Hebert.

 

PROVIDENCE – Kedwin Vargas, 26, of Roxbury, MA, was sentenced today in U.S. District Court in Providence, RI, to 60 months in federal prison for trafficking a female from Massachusetts to Rhode Island for the purpose of prostitution.

 

At sentencing, U.S. District Court Judge John J. McConnell, Jr., also ordered Vargas to serve 3 years supervised release upon completion of his prison term. Vargas pleaded guilty on December 8, 2016, to transportation with the intent to prostitute.

 

The government and the defendant recommended to the court that a sentence of 60 months of incarceration be imposed. The U.S. Sentencing Guideline range in this matter is 51 to 63 months of incarceration.

 

Vargas’ sentence is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Harold H. Shaw, Special Agent in Charge of the FBI Boston Division.

At time of his guilty plea, Vargas admitted to the court that between January 2015 and March 2016, he met a female he knew to be engaged in prostitution, and did aid and abet her in carrying out that endeavor by, among other things, driving her from Massachusetts to appointments with customers in Rhode Island; holding cash she collected from her prostitution activities; and by profiting directly and indirectly from her activity.

 

Vargas has been detained in federal custody since his arrest on May 19, 2016.

 

A co-defendant in this matter, Rene Anthony Laureano, 31, of Roxbury, MA, was sentenced on June 21, 2017, to 24 months in federal prison. Laureano pleaded guilty on March 7, 2017, to transportation with the intent to prostitute.

 

The was prosecuted by Assistant U.S. Attorney William J. Ferland.

Acting United States Attorney Stephen G. Dambruch thanks the Warwick, R.I., and Boston Police Departments for their assistance in the investigation of this matter.

###

PROVIDENCE – Olga Lidia Sandoval, 39, of Attleboro, MA., was sentenced today to 84 months in federal prison for arranging for the transportation of 6 ½ kilograms of heroin from Guatemala through Mexico and into Rhode Island in May 2016.

 

The heroin was found stashed in the front differential and axle of a truck being towed by another vehicle driven by a New York resident along Interstate 95 on May 22, 2016.

 

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Sandoval to serve 5 years supervised release upon completion of her prison term. Sandoval also agreed to forfeit $10,396 in cash seized from her home on the date of her arrest. The court ordered that Sandoval, a Guatemalan national, be turned over to immigration officials for deportation proceedings upon completion of her prison sentence.

 

Sandoval pleaded guilty on May 1, 2017, to conspiracy to possess with the intent to distribute more than one kilogram of heroin and possession with the intent to distribute more than one kilogram of heroin.

 

The U.S. Sentencing Guideline range of imprisonment in this matter is 70 to 87 months. The government and the defendant recommended to the court, and the court agreed to impose a sentence of 84 months of incarceration.

 

Sandoval’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England.

According to information presented to the court, in November 2015, Rhode Island State Police and the High Intensity Drug Trafficking Area Task Force began investigating the drug trafficking activities of a co-conspirator in this matter, Jose Luis Amparo Nova, 33, of North Providence, RI.

In January 2016, HSI began investigating Olga Sandoval’s drug trafficking activities, which included arranging the importation and distribution of heroin in Rhode Island and Massachusetts. The investigations, independent of one another, included electronic surveillance which captured conversations between Sandoval and Nova. Frequent conversations captured by HSI between Sandoval and others included discussions of efforts to send substantial sums of narcotics-derived proceeds to her Guatemalan sources of supply.

Beginning on May 13, 2016, law enforcement monitored discussions of a shipment of heroin from Mexico into Rhode Island and Massachusetts. Conversations included discussions of a location to deliver the shipment as well as payment for the drugs. On May 19, law enforcement monitored conversations that indicated that the truck transporting the drugs to New England had been damaged in a rollover accident.

On May 22, 2016, Rhode Island State Police stopped the driver of a U-Haul after witnessing the truck weaving in and out of marked lanes. The U-Haul was towing a heavily damaged truck that matched the description of the truck believed to being used to transport the shipment of heroin from Mexico to New England. As the traffic stop was occurring, law enforcement intercepted a call placed by Olga Sandoval indicating that she received a call informing her that the driver of the U-Haul, Ivan K. Alvarado, 39, of Spring Valley, NY, had been stopped by law enforcement.

 

The vehicles were towed to Rhode Island State Police headquarters where a court authorized search of the vehicles resulted in the discovery of 6.487 kilograms of heroin stashed in the underside of the truck being towed.

 

Ivan Alvarado was arrested on May 22, and Olga Sandoval and Jose Nova were arrested on May 24, 2016, on federal criminal complaints charging each with conspiracy to possess with the intent to distribute one kilogram or more of heroin. U.S. District Court Magistrate Judge Patricia A. Sullivan ordered the defendants detained in federal custody.

 

Sandoval and Nova were indicted by a federal grand jury on June 16, 2016, on charges of conspiracy to possess with the intent to distribute one kilogram or more of heroin and possession with the intent to distribute one kilogram or more of heroin. Nova pleaded guilty on January 26, 2017, as charged in the indictment. He is scheduled to be sentenced on July 14, 2017.

 

According to a plea agreement filed in this matter, Ivan Alvarado has agreed to plead guilty to an information charging him with drug trafficking. Alvarado is scheduled to be arraigned on July 5, 2017.

 

The cases are being prosecuted by Assistant U.S. Attorney Ronald R. Gendron.

 

Acting United States Attorney Stephen G. Dambruch thanks the Rhode Island Department of the Attorney General and the DEA for their assistance in this matter.

 

###

PROVIDENCE – Jeanlee Figueroa, 21, of Central Falls, pleaded guilty in federal court in Providence today to charges relating to her participation in a conspiracy to traffic between 3.5 and 5 kilograms of cocaine. 

 

Appearing before U.S. District Court Judge John J. McConnell, Jr., Figueroa pleaded guilty to one count each of conspiracy to possess more than 1 kilogram of cocaine with the intent to distribute and possession of in excess of 1 kilogram of cocaine with the intent to distribute.

 

Figueroa’s guilty plea is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Shelly A. Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division.

 

According to court documents and information presented to the court, in July 2016, Figueroa learned of a drug operation in the greater Providence area that was receiving packages of cocaine shipped from Puerto Rico. She was aware that individuals who allowed their addresses to be used to receive the packages were paid cash for receiving the packages and turning them over to the drug operation.

 

At the time of her guilty plea, Figueroa admitted to the court that she contacted an individual and provided her address. Thereafter, Figueroa began to receive packages delivered through the U.S. mail addressed to fictitious persons at her home address. Wanting to increase her earnings, Figueroa opened a post office box at the Pawtucket post office with the express intention of receiving additional packages of cocaine.

 

According to court documents, Figueroa received 17 packages, each containing approximately 300 grams of cocaine. Eight were received at her residence and 9 were received at her Pawtucket post office box. Figueroa received and delivered between 3.5 and 5 kilograms of cocaine.

 

Jeanlee Figueroa, who is currently released on unsecured bond, is scheduled to be sentenced on September 19, 2017. Conspiracy to possess more than 1 kilogram of cocaine with the intent to distribute and possession of in excess of 1 kilogram of cocaine with the intent to distribute is punishable by statutory penalties of 40 years imprisonment, with a mandatory minimum 5 years imprisonment, and a term of supervised release of 4 years to life.

 

The case is being prosecuted by Assistant U.S. Attorney William J. Ferland.

 

The matter was investigated by the Rhode Island State Police High Intensity Drug Trafficking Area Task Force and U .S. Postal Inspection Service.

 

Acting United States Attorney Stephen G. Dambruch acknowledges and thanks the Newport and Cranston Police Departments, and the DEA for their assistance in the investigation of this matter.

 

###

PROVIDENCE – Rene Anthony Laureano, 31, of Roxbury, MA, was sentenced in U.S. District Court in Providence today to 24 months in federal prison for trafficking a Massachusetts female to Rhode Island for the purpose of prostitution.  

 

At sentencing, U.S. District Court Judge John J. McConnell, Jr., also ordered Laureano to serve 3 years supervised release upon completion of his term of imprisonment. Laureano pleaded guilty on March 7, 2017, to transportation with the intent to prostitute.

 

Both the government and the defense recommended to the court a sentence of 60 months incarceration. The U.S. Sentencing Guideline imprisonment range in this matter is 46 to 57 months.

 

Laureano’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Harold H. Shaw, Special Agent in Charge of the FBI Boston Division.

At time of his guilty plea, Laureano admitted to the court that between January 2015 and March 2016, he met a female he knew to be engaged in prostitution and did aid and abet her in carrying out that endeavor by, among other things, driving her from Massachusetts to appointments with customers in Rhode Island, and by profiting directly and indirectly from her activity.

 

Laureano has been detained in federal custody since his arrest on May 23, 2016.  A codefendant in this matter, Kedwin Vargas, 26, of Roxbury, MA, arrested on May 19, 2016, pleaded guilty on December 8, 2016,  to transportation with the intent to prostitute. Vargas is scheduled to be sentenced by U.S. District Court Judge John J. McConnell, Jr., on June 30, 2017.

 

The case is being prosecuted by Assistant U.S. Attorney William J. Ferland.

The matter was investigated by the Rhode Island State Police and the FBI. Acting United States Attorney Stephen G. Dambruch thanks the Warwick, R.I., and Boston Police Departments for their assistance in the investigation.

 

###

PROVIDENCE – Edred Buchanan, 40, of Woonsocket, was sentenced today to 48 months in federal prison for committing two bank robberies a week apart in November 2015.

 

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Buchanan to serve 3 years supervised release upon completion of his prison term and to pay restitution to the banks totaling $2,561. The government recommended a sentence of 70 months imprisonment, the low end of the U.S. Sentencing Guideline range in this matter.

 

Buchanan pleaded guilty on March 8, 2017, to two counts of bank robbery.

 

Buchanan’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; Providence Police Chief Colonel Hugh T. Clements, Jr.; and Woonsocket Police Chief Thomas Oates.

 

At the time of his guilty plea, Buchanan admitted to the court that on November 5, 2015, he entered the Citizens Bank branch on Waterman Street in Providence and passed a note to a teller demanding money in $50 and $100 denominations. He left with $1,011 in cash and the note.

 

Additionally, Buchanan admitted that on November 12, 2015, he entered the Citizens Bank branch on Westminster Street and passed a note to a teller which read, “Robbery! Gun! Loose 50s N’100s. No Dye Packs! Quick!” He left with $1,550 in cash but without the note.

 

According to court documents, on November 9, 2015, Woonsocket police, who were assisting Blackstone, MA, Police investigate a bank robbery that occurred on that date in Blackstone, advised an FBI agent regarding information they had developed and evidence they had seized regarding the Blackstone bank robbery. The information and evidence they seized, and follow-up investigation by the FBI and Providence Police, eventually led the FBI and Providence Police to identify Edred Buchanan as the person responsible for the Providence bank robberies. Buchanan was arrested on March 30, 2016.

 

The case was prosecuted by Assistant U.S. Attorney Ronald R. Gendron.

 

###

PROVIDENCE – Pedro Jimenez-Rodriguez, 41, of Newport, pleaded guilty in federal court in Providence today to possession with the intent to distribute 500 grams or more cocaine. According to a plea agreement filed in this matter, the government will recommend a term of imprisonment of 72 months when Jimenez-Rodriguez is sentenced by U.S. District Court Judge John J. McConnell, Jr., on August 31, 2017.

 

Pedro Jimenez-Rodriguez’s guilty plea is announced by Acting United States Attorney Stephen G. Dambruch; Newport Police Chief Gary T. Silva; Sean M. Boyce, Team Leader of the Providence U.S. Postal Inspection Service field office; and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) New England field division.

 

According to information presented to the court, in late 2016, the Newport Police Department, U.S. Postal Inspection Service and the R.I. DEA Drug Task Force were investigating Jimenez-Rodriguez’s drug trafficking activity. On January 10, 2017, a U.S. Postal Inspector learned that a package was being shipped from Puerto Rico to Jimenez-Rodriguez’s Newport residence. On January 12, 2017, the package arrived at the Providence Postal Office, and a Cranston Police K-9 indicated the presence of narcotics inside the package. A federal search warrant was obtained, and an examination of the contents of the package resulted in the discovery of 1.13 kilograms of cocaine stuffed inside a pink children’s ottoman. The package was resealed and a controlled delivery of the package by a U.S. Postal Service Inspector was scheduled.

 

On January 13, 2017, a  U.S. Postal Inspector delivered the package to Pedro Jimenez-Rodriguez. Shortly after he took custody of the package, Newport Police and members of the R.I. DEA Drug Task Force executed a court authorized search of Jimenez-Rodriguez’s residence. The ottoman containing the cocaine was seized, along with various items used in the packaging and distribution of cocaine, an electronic money counter and $3,055 in cash.

 

The case is being prosecuted by Assistant U.S. Attorney Zechariah Chafee.

 

###

PROVIDENCE – Fernando Cortez Cueves, 40, a Mexican national who was previously deported from the United States in 2007, pleaded guilty in federal court in Providence today to illegal reentry into the United States.

 

According to information presented to the court and court records, Cueves was arrested by Rhode Island State Police on April 17, 2017, and ordered detained at the Adult Correctional Institution (ACI). On April 27, 2017, Cueves was released from the ACI to the custody to personnel from Immigration Customs Enforcement.

 

Appearing before U.S. District Court Judge John J. McConnell, Jr., Cueves admitted to the court that he illegally reentered the United States after having been previously deported. Cueves was sentenced to time served and returned to the custody of Immigration and Customs Enforcement.

 

Fernando Cortez Cueves’ guilty plea and sentence are announced by Acting United States Attorney Stephen G. Dambruch and C.M. Cronin, Field Office Director for United States Immigration and Customs Enforcement.

 

The matter was prosecuted by Assistant U.S. Attorney Zechariah Chafee, Border Security Coordinator for the United States Attorney’s Office for the District of Rhode Island.

PROVIDENCE – Francisco Fernandez, a/k/a Joel Antonio Santana Arias, 43, of Lawrence, MA, pleaded guilty in U.S. District Court in Providence, R.I., today to possession with the intent to distribute 500 grams or more of cocaine. The cocaine was discovered inside Fernandez’s vehicle by a Rhode Island State Police trooper during a routine traffic stop in February 2017.

 

According to information presented to the court, on February 11, 2017, during a routine traffic stop of Fernandez’s vehicle on Interstate 95 in West Greenwich by a Rhode Island State Police trooper, it was determined that Fernandez did not have a valid driver’s license. As forms of identification, Fernandez provided a Dominican Republic passport and a vehicle registration under the name of Joel Antonio Santana Arias. A further check determined that the name Joel Antonio Santana Arias was an alias for Francisco Fernandez, and revealed an active arrest warrant out of Massachusetts for Fernandez.

 

Mr. Fernandez was taken into custody. During an inventory of Mr. Fernandez’s vehicle prior to being towed, nearly two kilograms of cocaine was discovered inside a backpack located on the front passenger floorboard.

 

Francisco Fernandez’s guilty plea is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations for New England.

Ferandez, who is detained in federal custody, is scheduled to be sentenced by U.S. District Court Judge John J. McConnell, Jr., on September 1, 2017.

The case is being prosecuted by Assistant U.S. Attorney Ly T. Chin, with the assistance of Assistant U.S. Attorney Zechariah Chafee.

PROVIDENCE – Andre T. Dupree, 26, of Warren, pleaded guilty today in federal court in Providence to being a felon in possession of a firearm. Dupree was arrested by Newport Police in March 2017, after loaded semi-automatic firearm was seized from him during a routine motor vehicle traffic stop.

 

Dupree’s guilty plea before U.S. District Court Judge John J. McConnell, Jr., is announced by Acting United States Attorney Stephen G. Dambruch and Newport Police Chief Gary T. Silva.

 

According to information presented to the court, on March 24, 2017, a Newport police officer stopped a vehicle for a traffic violation. Dupree was a front seat passenger in the vehicle. At the time of the traffic stop, Dupree was in possession of a loaded 9mm semi-automatic handgun and a bag containing 50 rounds of 9mm ammunition.

 

According to Rhode Island state court records, Andre Dupree was convicted in 2012 on two counts of drug trafficking. He was sentenced to 4 months incarceration to be followed by 5 years and 8 months probation.

 

Dupree, who is detained in federal custody, is scheduled to be sentenced in federal court on August 31, 2017 .

 

The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah.

 

Acting United States Attorney Stephen G. Dambruch thanks the Bureau of Alcohol, Tobacco, Firearms and Explosives for their assistance in the preparation of this matter for prosecution.

 

###

PROVIDENCE – Former Rhode Island House Finance Chairman Raymond E. Gallison, Jr., 65, of Bristol, R.I., was sentenced today to 51 months in federal prison for orchestrating fraudulent and deceptive schemes to steal private money and to hide his misuse of public money.

 

U. S. District Court Chief Judge William E. Smith also ordered Gallison to serve 3 years supervised release upon completion of his prison term, to include 100 hours of community service. Gallison pleaded guilty on March 9, 2017, to four (4) counts of mail fraud; one (1) count of wire fraud; one (1) count of aggravated identity theft; one (1) count of aiding the filing of a false tax document; and two (2) counts of filing a false tax return.

 

At the time of his guilty plea, Gallison admitted to the court that he stole funds from the estate of a deceased individual to which he was appointed executor; stole funds from a Special Needs Trust established to protect the long-term welfare of a disabled individual to which he was appointed trustee; provided false information on tax documents, including vastly inflating the number of students assisted by a non-profit organization funded by public money while failing to disclose amounts paid by that organization to him; and that he failed to pay taxes on income derived from his criminal actions.

 

Gallison’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Rhode Island Attorney General Peter F. Kilmartin; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; Joel P. Garland, Special Agent in Charge, Internal Revenue Service Criminal Investigation; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.

At the time of his guilty plea, Gallison admitted:

 

As executor of an estate of an individual from Barrington, R.I., who passed away in February 2012, he devised and executed various schemes to steal or transfer to his own name and bank accounts, cash, checks, stocks and real property belonging to the deceased person and/or his estate, valued at a total of $677,454.10. Gallison admitted that he fraudulently used the name and social security number of the deceased person to execute a scheme to cause the liquidation of certain stocks belonging to the deceased person;

 

He caused the filing of a false tax document on behalf of Alternative Education Programming (AEP), a non-profit organization which provided educational programs to students who may need assistance with course work, and/or minority and/or disadvantaged students who may need financial or other assistance to gain an education, and of which Gallison was listed as Assistant Director. The tax document listed that $77,957 in tuition and related fees and expenses were paid for 47 students from July 1, 2012, through June 30, 2013. In fact, on behalf of AEP, Gallison paid only $3,137.29 to assist 2 students during that year and paid approximately $64,575 to himself and another person in wages and consulting fees for no work undertaken on AEP’s behalf;

 

As trustee for a disabled person’s Special Needs Trust, he defrauded the Trust by writing a check from the Trust account for $8,900, which he deposited into an AEP account. Gallison then wrote a check for $8,800 from the AEP account to pay an outstanding bill at the Community College of Rhode Island; and

 

He failed to claim a total of $622,286.17 in income on joint IRS tax returns for tax years 2012 and 2013, and, as a result of his relevant conduct from 2012-2015, Gallison failed to pay a total of $226,332.31 in taxes.

 

During the course of the investigation, law enforcement recovered more than $515,000 in assets stolen by the defendant from the estate for which he served as executor. On the date of his guilty plea, the court was provided a check in the amount of $162,063.95, reflecting the balance of restitution due to the estate.

 

Restitution due to the IRS in the amount of $226,332.31 has not been paid.

 

Gallison was ordered by Chief Judge William E. Smith to self-surrender to begin serving his term of imprisonment by July 10, 2017.

 

The case was prosecuted by Assistant U.S. Attorneys Dulce Donovan and William J. Ferland, and Special Assistant U.S. Attorney James R. Baum of the Rhode Island Department of the Attorney General.

The matter was investigated by the United States Attorney’s Office, FBI, Internal Revenue Service Criminal Investigation, Rhode Island Department of the Attorney General, and the Rhode Island State Police.

###

PROVIDENCE –  Brandon M. Crumady, 30, of Providence, pleaded guilty in federal court in Providence today to being a felon in possession of a firearm, and he admitted to violating the terms of federal supervised release on a previous conviction on a firearm charge, announced Acting United States Attorney Stephen G. Dambruch and Providence Police Chief Colonel Hugh T. Clements, Jr.

 

According to information presented to the court, on May 9, 2016, a Providence Police officer patrolling the area around a nightclub preparing to close for the evening came upon an occupied vehicle parked in a nearby parking lot. The officer illuminated the interior of the vehicle with his cruiser alley light. As he did, he saw the front seat passenger reach into his waistband, remove a firearm and toss it onto the back seat.

 

According to information presented to the court, the officer recognized Brandon Crumady as being the passenger in the vehicle, and the officer was aware that he had previously been convicted of a firearm offense. The officer approached the vehicle with his service weapon drawn, and kept watch of the firearm and the occupants of the vehicle until additional officers arrived. Crumady was arrested and a loaded semi-automatic firearm was recovered from the back seat.

 

According to court records, Crumady was previously convicted in Rhode Island state court for carrying a pistol without a license and felony possession of controlled substance offenses.  Most recently, on May 23, 2012, Crumady was convicted in federal court for being a felon in possession of a firearm. On August 17, 2012, Crumady received a sentence of 37 imprisonment followed by 36 months of supervised release. He was on federal supervised release when he was arrested on May 23, 2012.

 

Brandon Crumady is scheduled to be sentenced by U.S. District Court Judge John J. McConnell, Jr., on September 1, 2017.

 

The case is being prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.

 

The case was investigated by the Providence Police Department, with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives.

 

###

PROVIDENCE, R.I. – Christopher Rene, 26, of Providence, was sentenced on Tuesday to 72 months in federal prison and 3 years supervised release for being a felon in possession of a firearm and for violating the terms of his supervised release on a previous conviction in federal court for being a felon in possession of a firearm.

Rene pleaded guilty on November 22, 2016 to being a felon in possession of a firearm and to violating the terms of supervised release. He was arrested by Providence Police on February 4, 2016. It was the third arrest of Rene on firearm charges.

Rene’s sentence, imposed by U.S. District Court Judge John J. McConnell, Jr., is announced by Acting United States Attorney Stephen G. Dambruch, Providence Police Chief Colonel Hugh T. Clements, Jr., and Harold H. Shaw, Special Agent in Charge of the Boston Division of the FBI.

According to court records, in August 2009, Rene was convicted in Rhode Island state court on drug trafficking and firearm charges and sentenced to 7 years in prison, 6 months to serve and 78 months of probation.  In a separate matter, in March 2011, Rene was convicted in federal court of being a felon in possession of a firearm. He was sentenced to 46 months in prison and 3 years of supervised release.

On February 10, 2015, while on federal supervised release and state probation, Rene was among 35 individuals arrested during a series of investigations into violent crimes in Providence as part of the Rhode Island Violent Crime Initiative.  Based on information gathered by law enforcement, Rene was arrested for violating the terms of his federal supervised release. He was sentenced to six months in federal prison and an additional 30 months of federal supervised release.

According to state court documents, in February 2016, during an investigation into drug trafficking in Providence, Providence Police seized 41 bags of crack cocaine and .40 caliber handgun from vehicles accessed by Rene. Rene was detained shortly after he exited one vehicle and placed the handgun in the second vehicle.

 The most recent case was prosecuted by Assistant U.S. Attorney Milind M. Shah.

The matter was investigated by the Providence Police Department with the assistance of the FBI’s Safe Streets Task Force.

###

PROVIDENCE, R.I. – John Ryder, 29, of West Warwick, was sentenced today to 36 months in federal prison for robbing a BankRI branch office in Coventry of more than $6,000 in cash, while wielding a machete, on May 2, 2016.

At sentencing, U.S. District Court Chief Judge William E Smith also ordered Ryder to serve 3 years supervised release upon completion of his prison term and pay full restitution to BankRI. Ryder pleaded guilty on October 31, 2016, to bank robbery by force, violence and intimidation.

Ryder’s sentence is announced by Acting United States Attorney Stephen G. Dambruch; Coventry Police Chief John S. MacDonald; and Harold H. Shaw, Special Agent in Charge of the Boston Field Office of the FBI.

At the time of his guilty plea, Ryder admitted to the court that beginning on April 29, 2016, and on the days leading up to the robbery, he spent a considerable amount of time in and around a shopping plaza where the bank is located and in a wooded area directly behind the plaza. Ryder admitted to the court that on May 2, 2016, he entered the bank carrying a machete which he wielded while demanding cash from bank tellers. After robbing the bank of $5,937, he fled into the wooded area behind the shopping plaza.

Ryder was arrested by Coventry Police Detectives and FBI agents, with the assistance of the West Warwick Police Department, on May 13, 2016.

The case was prosecuted by Assistant U.S. Attorney Milind M. Shah.

 

###

PROVIDENCE – Rafael P. Leal, 39, of Boston, Mass., pleaded guilty in U.S. District Court in Providence, R.I., today to charges that he traveled to Rhode Island to entice a minor child to engage in illicit sexual conduct.

Appearing before U.S. District Court Judge William E. Smith, Leal admitted to the court that on at least four occasions during 2016 he traveled into Rhode Island to engage in sexual activity with a minor. Leal admitted to the court that he enticed the minor through messages he sent via the Internet and text messages.

Leal was arrested by FBI agents at his Massachusetts residence on November 22, 2016.

Leal’s guilty plea to one count each of using means of interstate commerce (Internet) to entice a minor to engage in sexual activity and interstate travel to engage in sexual activity with a minor is announced by acting United States Attorney Stephen G. Dambruch; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; and Bristol Police Chief Josue D. Canario.

 

Leal, who has been detained since his arrest, is scheduled to be sentenced on September 11, 2017.

Using means of interstate commerce to entice a minor to engage in sexual activity is punishable by a statutory penalty of a mandatory minimum of 10 years up to life imprisonment; interstate travel to engage in sexual activity with a minor is punishable by a statutory penalty of up to 30 years imprisonment.

The case is being prosecuted by Assistant U.S. Attorney John P. McAdams.

###

PROVIDENCE – Gregory L. Garmon, 35, of Cranston, pleaded guilty in federal court in Providence today to being a felon in possession of a firearm. Garmon was arrested by members of the  Cranston Police Department on May 3, 2016, approximately 30 minutes after Providence Police reported shots fired in their city and provided a description to Cranston Police of a vehicle believed involved in the incident.

 

According to court documents, on May 3, 2016, at approximately 5:23 p m, Providence Police received reports of shots fired on Comstock Avenue. A description of a vehicle involved, including the vehicles license plate number, was provided to Providence Police. Within a few minutes, Cranston Police identified the owner of the vehicle as being Gregory Garmon, and established surveillance at his residence. Within 30 minutes, the vehicle, driven by Garmon arrived at the Cranston residence. Garmon was taken into custody. A loaded 9mm pistol was discovered under the passenger’s front seat.

 

Garmon’s guilty plea before U.S. District Court Chief Judge William E. Smith is announced by Acting United States Attorney Stephen G. Dambruch; Cranston Police Chief Colonel Michael J. Winquist; Providence Police Chief Colonel Hugh T. Clements, Jr.; and Mickey Leadingham, Special Agent in Charge of the Boston Field Division of ATF.

 

Gorman is scheduled to be sentenced on September 8, 2017.

 

The case is being prosecuted by Assistant U.S. Attorney Ronald R. Gendron.

 

###

PROVIDENCE –  As the 2016-2017 school year nears its completion, today nearly 300 students in Winman Jr. High School in Warwick participated in the United States Attorney’s Office’s opioid and heroin addiction and overdose awareness program. Today’s presentation, the final in-school program of the current school year, marks the 28th presentation in more than two dozen schools in 13 communities across Rhode Island.

 

More than 10,000 junior and senior high school students in Barrington, Bristol, Central Falls, Cumberland, Johnston, Newport, North Providence, Portsmouth, Providence, South Kingstown, Warwick, Westerly and Woonsocket participated in the United States Attorney’s Office’s program, which includes discussions about the importance of making good decisions and the consequences of making poor decisions, and how they impact every student’s future; screening of the powerful documentary Chasing the Dragon - an unscripted, real-life look at the devastation of opioid and heroin addiction; and the personal story of a parent, Deborah Parente, who lost her only child to opioid and heroin addiction.

 

Each presentation also included important information about in-school and community support for students if they have been or are being impacted because of a family member or friend’s use of opioids or heroin.

 

In addition to opioid and heroin awareness programs, the United States Attorney’s Office, working along-side community partners such as substance abuse prevention coalitions, student assistance counselors and law enforcement, visited numerous junior and senior high schools across the state to present programs to students, faculty, coaches, administrators and parents about the impact that marijuana, tobacco, and e-cigarettes may pose to young people.

 

“The devastation being left in the wake of the worsening epidemic of opioid and heroin addiction, and overdose deaths, is staggering to say the least,” said Acting United States Attorney Stephen G. Dambruch. “According to statistics released on Tuesday by the Department of Justice, in 2015, 1,000 people died every week of a drug overdose; 33,000 people died from heroin, fentanyl and other opioid drugs. In 2016, the number of deaths increased to nearly 60,000 people. These are not faceless, nameless individuals. They are our family members, our friends, our neighbors, our co-workers. People impacted by this horrific epidemic live in every zip code, are of every ethnicity, and of every socioeconomic background. This epidemic does not discriminate.”

 

“If our outreach programs save one life, we have done our job. We hope we have made a significant difference in many young people’s lives,” added Mr. Dambruch. “I want to particularly thank former U.S. Attorney Peter F. Neronha and Deborah Parente for their significant contributions to the success of our opioid and heroin awareness outreach programs.”

 

Assistance and information about treatment options for opioid addiction is available from a licensed counselor 24-hours a day, 7 days a week by calling Prevent Overdose RI at 942-STOP (942-7867).

 

###

PROVIDENCE – David H. Bentz, 46, of Norwell, MA, is scheduled to be sentenced in U.S. District Court in Providence on September 8, 2017, having pleaded guilty to traveling interstate for the purpose of engaging in illicit sexual conduct with a minor. Bentz pleaded guilty on June 2, 2017, before U.S. District Court Chief Judge William E. Smith.

According to information presented to the court, on July 2, 2016, Bentz responded to an online posting and began a series of communications with a person he believed to be a 15-year-old female. The conversation quickly became sexually explicit. On July 6, 2016, Bentz arranged to meet with the 15-year-old in Rhode Island to engage in sexual activity. When Bentz arrived at a pre-arranged location in Rhode Island he was arrested by members of the Rhode State Police Internet Crimes Against Children Task Force.

Traveling interstate for the purpose of engaging in illicit sexual conduct with a minor is punishable by statutory penalties of up to 30 years in federal prison; a fine of up to $250,000; and a term of supervised release of between 5 years and life.

Bentz’s guilty plea is announced by Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations for New England.

The case is being prosecuted by Assistant U.S. Attorney Richard B. Myrus.

 

PROVIDENCE – A federal grand jury in Providence returned indictments charging four individuals with illegal re-entry into the United States. The defendants were previously deported and allegedly re-entered the country without the permission of the United States government.

 

The indictments are announced by Acting United States Attorney Stephen G. Dambruch and C.M. Cronin, Field Office Director for United States Immigration and Customs Enforcement.

 

On May 18, 2017, a federal grand jury returned indictments naming

 

• Fernando Cortez Cuevas, 40, of Attleboro, MA. Cuevas, a citizen of Mexico, was previously deported in 2007, having been convicted on felony drug charges and on an obstruction charge. He was most recently arrested by Rhode Island State Police in April 2017 and ordered detained at the ACI on an obstruction charge;

 

• Rosendo Gonzalez Perez, 27, of Providence, RI. Perez, a citizen of Guatemala,  was previously deported in 2009 and 2012. Perez was most recently arrested on April 19, 2017, by the Pawtucket Police Department on a motor vehicle violation;

 

• Jose Mercedes Leon, 47, address unknown. Leon, a citizen of the Dominican Republic, previously convicted on drug, assault and fraud charges, and deported in 1999, 2002, 2011, was convicted in Rhode Island in January 2017 on a state felony drug charge; and

 

• Angel Matos, 56, address unknown. Matos, a citizen of the Dominican Republic, previously convicted on multiple drug trafficking and assault charges, was previously deported in 1992, 1997, and 2006. He was recently released from the ACI, having been convicted and sentenced in June 2011 on a felony assault charge.

 

The cases are being prosecuted by Assistant U.S. Attorney Zechariah Chafee, Border Security coordinator for the United States Attorney’s Office for the District of Rhode Island.

 

 

###

PROVIDENCE –  Jack A. Hoogasian, 44, of Johnston, RI, pleaded guilty in federal court in Providence on Tuesday to possession with the intent to distribute heroin and possession of a pill press. A pill press is used to produce counterfeit narcotics, in this case, oxycodone.

Hoogasian’s guilty plea before U.S. District Court Chief Judge William E. Smith is announced by Acting U.S. Attorney Stephen G. Dambruch and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.

According to Rhode Island state court documents, in May 2016, the Rhode Island State Police Intelligence Unit developed information that Jack Hoogasian was trafficking counterfeit narcotics pills he produced with a pill press from his residence. On at least two occasions, the State Police Intelligence Unit arranged for the purchase of narcotics pills from Hoogasian. Each transaction consisted of the purchase of multiple blue pills stamped A 215. Blue pills stamped A 215 are how the prescription drug oxycodone hydrochloride (30 mg.) is labeled for sale.

According to court documents, field tests conducted by Rhode Island State Police of the first batch of pills purchased from Hoogasian tested positive for the presence of amphetamine. Subsequent testing by a U.S. Food and Drug Administration Office of Criminal Investigations forensic specialist determined that the pills were counterfeit. Testing of the second batch of pills tested positive for the presence of heroin and amphetamine.

According to information presented to the court at the time of Hoogasian’s guilty plea in federal court, on May 17, 2016, Rhode Island State Police executed a court-authorized search of Hoogasian’s residence. In the basement of Hoogasian’s residence, 22 blue pills stamped A 215, three large bags of powder, and a pill press machine were seized. Forty-nine blue pills stamped A 215 were seized from a garage.

Hoogasian is scheduled to be sentenced by U.S. District Court Chief Judge William E. Smith on August 11, 2017. Possession with the intent to distribute heroin is punishable by statutory penalties of up to 20 years in federal prison, a fine of up to $1,000,000 and a term of supervised release of 3 years to life. Possession of a pill press is punishable by statutory penalties of up to 1 year in federal prison, a fine of up to $1,000, and a term of supervised release of up to 1 year.

The case is being prosecuted by Assistant U.S. Attorney Richard W. Rose, with the assistance of Assistant U.S. Attorney Lee H. Vilker.

 Acting United States Attorney Stephen G. Dambruch and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police, thank the U.S. Food and Drug Administration Office of Criminal Investigations for their assistance in the investigation of this matter.

###

PROVIDENCE – A federal grand jury on Tuesday returned a four-count indictment alleging that two Rhode Island men sex trafficked a 17-year-old Rhode Island female at hotels in Warwick, R.I. and Queens, N.Y., and at locations in Massachusetts. 

 

Additionally, the indictment alleges that an 18-year-old woman was transported by the defendants to Queens, N.Y., for the purpose of offering her for commercial sexual activity.

 

The indictment, unsealed today in U.S. District Court in Providence, charges Reysean Williams, a/k/a “Sincere,” 27, of Pawtucket, and Leandro Gomes, a/k/a “Leo,” 18, of Providence, with conspiracy to sex traffic a child, sex trafficking of a child, interstate transportation of a minor to engage in criminal sexual activity and traveling in interstate with the intent to engage in criminal sexual activity. The defendants, arrested earlier today and arraigned, were ordered detained in federal custody by U.S. District Court Magistrate Lincoln D. Almond.

 

The indictment of Reysean Williams and Leandro Gomes’ is announced by Acting United States Attorney Stephen G. Dambruch; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations for New England; and Cranston Police Chief Colonel Michael J. Winquist.

 

According to the indictment, it is alleged that from March 21 to 23, 2017, Williams rented a hotel room in Warwick for the purpose of having a juvenile female engage in several commercial sex acts. During those dates, Williams and Gomes posted Backpage.com advertisements, which offered the sexual services of the juvenile. Gomes collected the payments made to the victim, and gave most if it to Williams.

 

Additionally, the indictment alleges that on March 25, 2017, Williams and Gomes transported the juvenile female and an 18-year-old female to a hotel in Queens, N.Y., for the purpose of engaging in commercial sexual activity. Advertisements were posted on Backpage.com.  Gomes collected the payments made to the victims, and gave most if it to Williams.

 

The indictment also alleges that on March 25, 2017, Williams and Gomes traveled to New York for the purpose of engaging in illicit sexual conduct with a person under the age of 18.

 

According to state court documents filed in this matter, the victim was located on April 17, 2017, during an investigation by members of the Cranston Police Department Special Victims Unit, working with Homeland Security Investigations.

An investigation by Homeland Security Investigations and the Cranston Police Department into this matter and into the alleged conduct of the defendants is continuing.

 

The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.

 

If convicted as charged in the indictment, the defendants face statutory penalties of 10 years to life imprisonment, to be followed by up to lifetime supervised release.

 

Acting United States Attorney Stephen G. Dambruch thanks the Rhode Island Department of the Attorney General for their assistance in this case.

 

###

PROVIDENCE – A federal grand jury in Providence on Tuesday returned an indictment charging four individuals with participating in a conspiracy to possess with the intent to distribute more than a kilogram of cocaine. It is alleged that the cocaine was shipped to Rhode Island from Puerto Rico via the U.S. Postal Service in small quantities in an effort to avoid detection by law enforcement.

 

It is alleged in court documents that a steady stream of U.S. Postal Service Priority Mail parcels containing small amounts of cocaine were shipped from San Juan, PR, to the defendants at various addresses and P.O. Boxes in several Rhode Island communities. An investigation by U.S. Postal Service Inspection Service determined that return addresses on most of the packages were actual addresses in San Juan, PR, but that the name of senders were not associated with the addresses.

 

Acting United States Attorney Stephen G. Dambruch and Shelly A. Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division, announce the indictment of Maritza Torres, 40, Jose Martinez, 54, and Hector Martinez-Garcia, 55, all of Providence, and Jeanlee Figueroa-Hernandez 21, of Central Falls, on charges of conspiracy to possess more than one kilogram of cocaine and possession with the intent to distribute more than one kilogram of cocaine. 

The defendants, previously detained on federal criminal complaints brought as a result of the investigation of the alleged conspiracy, are currently released on $10,000 unsecured bond. Arraignment dates have not yet been scheduled by the court.

 

According to court documents, it is alleged that in August 2016, U.S. Postal Inspectors discovered a Priority Mail parcel at the Providence Post Office shipped from San Juan, PR, which was found to have many characteristics of a parcel containing narcotics that had been sealed and addressed in a way as to avoid detection by law enforcement. The investigation, including the use of a Cranston Police Department narcotics detection K-9, allegedly confirmed the presence of narcotics inside the package.

 

It is alleged in court documents that since August 2016, Postal Inspectors tracked dozens of similar packages, which arrived at the Providence Post Office, most originating from the same neighborhood in San Juan, PR, for delivery in Rhode Island. Some of the packages were addressed to PO Boxes and were claimed at the post office. Other packages were addressed for delivery at various addresses. It is alleged that most of the deliveries were retrieved or accepted by the defendants or others associated with them.

 

A search of Postal Service databases by Postal Service inspectors revealed that 195 Priority Mail envelopes weighing approximately one pound, shipped within a couple of weeks of each other, and shipped from the same return address in San Juan, PR, have arrived in Rhode Island.

 

The case is being prosecuted by Assistant U.S. Attorney William J. Ferland.

 

Acting United States Attorney Stephen G. Dambruch acknowledges and thanks the Rhode Island State Police High Intensity Drug Trafficking Area Task Force, the Newport and Cranston Police Departments, and the DEA for their assistance in the investigation of this matter.

 

###

WASHINGTON – The Justice Department reached a settlement agreement today with Provisional Staffing Solutions (Provisional), a temporary staffing agency located in Cranston, Rhode Island. The agreement resolves the department’s investigation into whether Provisional discriminated against non-U.S. citizens when checking their work authorization documents, in violation of the Immigration and Nationality Act (INA).

The department’s investigation concluded that Provisional routinely requested that non-U.S. citizens present specific identity documents to prove their work authorization, such as a Permanent Resident Card (PRC), while not requesting a specific identity document from U.S. citizens. Lawful permanents residents and other work-authorized non-U.S. citizens often have the same identity and work authorization documents available to them as U.S. citizens, and may choose from among the acceptable documents to prove they are authorized to work. The antidiscrimination provision of the INA prohibits employers from subjecting employees to unnecessary documentary demands based on the employees’ citizenship or national origin.

Under the settlement, Provisional must pay a civil penalty of $16,290 to the United States, post notices informing workers about their rights under the INA’s antidiscrimination provision, train their human resources personnel and be subject to departmental monitoring and reporting requirements.

“The Justice Department cautions employers not to erect discriminatory barriers to employment,” said Acting Assistant Attorney General Tom Wheeler of the Civil Rights Division. “Companies large and small must ensure that their Form I-9 practices comply with federal law. We appreciate Provisional’s cooperation with the Department to address this issue.”

The division’s Immigrant and Employee Rights Section (IER), formerly known as the Office of Special Counsel for Immigration-Related Unfair Employment Practices, is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits, among other things, citizenship, immigration status, and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; retaliation and intimidation.

For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email IER@usdoj.gov; or visit IER’s English and Spanish websites.

Applicants or employees who believe they were subjected to different documentary requirements based on their citizenship, immigration status, or national origin; or discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral, should contact IER’s worker hotline for assistance.

# # #

PROVIDENCE – Two men have been ordered detained in federal custody in on-going investigations into the trafficking of methamphetamine, announced Acting United States Attorney Stephen G. Dambruch; Mickey Leadingham, Special Agent in Charge of the Boston Field Division of Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Warwick Police Chief Colonel Stephen M. McCartney; and Pawtucket Police Chief Paul King.

 

Jon Cascella, 48, of Warwick, was ordered detained on Friday following an in initial appearance on a criminal complaint charging him with multiple counts of trafficking methamphetamine, being a felon in possession of a firearm and possession of a firearm in furtherance of a drug trafficking crime. Cascella was arrested by members of an ATF task force on May 4, 2017, moments after he allegedly took possession of a firearm and cash during an exchange with an undercover law enforcement officer for 7.4 grams of methamphetamine.

 

It is alleged in court documents that on five occasions between March 29 and May 4, 2017, Cascella sold between 1.5 grams and 7.7 grams of methamphetamine to an undercover Warwick police officer for between $100 and $750. It is alleged that beginning shortly after the first transaction, Cascella repeatedly expressed an interest in purchasing a firearm for protection. The undercover Warwick officer agreed to assist Cascella obtain a firearm. On May 4, Cascella met with a second undercover officer who allegedly exchanged a .380 caliber semi-automatic handgun and $600 in cash for 7.4 grams of methamphetamine. Cascella was arrested moments after he allegedly took possession of the firearm. He later told investigators that he needed the firearm because methamphetamine had previously been stolen from his residence.

 

A court authorized search of Cascella’s residence on May 4 resulted in the seizure of approximately 9.6 grams of methamphetamine.

 

During the investigation into Cascella’s alleged methamphetamine trafficking activities, law enforcement developed information that Christopher Bergeron, 45, of Pawtucket, who was previously convicted in federal court of trafficking methamphetamine, was again allegedly involved in the trafficking of methamphetamine. On May 4, Bergeron’s vehicle was surrounded by Warwick police in the parking lot of a restaurant in Warwick. It is alleged that approximately 15 grams of methamphetamine was located inside the vehicle. Pawtucket police executed a court authorized search of Bergeron’s residence and seized 121 grams of methamphetamine and 5.4 grams of cocaine.

 

Bergeron was charged by the Warwick Police Department with manufacture/possession/deliver of a schedule I/II controlled substance; by the Pawtucket Police Department with manufacture/possession/deliver of methamphetamine, possession with the intent to deliver methamphetamine, possession with the intent to deliver cocaine, and maintaining a common nuisance/controlled substance.

 

On May 5, Bergeron was presented in U.S. District Court as a federal probation violator and was ordered detained in federal custody. Bergeron was sentenced in September 2016 to 3 years federal probation, having been convicted in U.S. District Court of possession with the intent to distribute methamphetamine.

 

The cases are being prosecuted by Assistant U.S. Attorney Milind M. Shah.

 

The DEA is currently assisting the ATF task force, and the Warwick and Pawtucket Police Departments in the investigation of these cases.

 

 

 

###

 

PROVIDENCE – Olga Lidia Sandoval, 39, of Attleboro, MA., pleaded guilty in federal court in Providence on Monday to conspiracy to possess with the intent to distribute one kilogram or more of heroin and possession with the intent to distribute one kilogram or more of heroin, announced Acting United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations (HSI) for New England.

According to information presented to the court, in May 2016, Sandoval arranged for the transportation of nearly 6 ½ kilograms of heroin to be brought from Guatemala through Mexico to Rhode Island. Rhode Island State Police seized the heroin as the result of a traffic stop. The heroin was discovered hidden in the front differential and axle of a truck allegedly being towed by Ivan K. Alvarado, 38, of Spring Valley, NY.

 

According to information presented to the court, in November 2015, Rhode Island State Police and the High Intensity Drug Trafficking Area Task Force began investigating the drug trafficking activities of a co-conspirator in this matter, Jose Luis Amparo Nova, 33, of North Providence, RI. In January 2016, HSI began investigating Olga Sandoval’s drug trafficking activities, which included arranging the importation and distribution of heroin in Rhode Island and Massachusetts. The investigations, independent of one another, included electronic surveillance which captured conversations between Sandoval and Nova. Frequent conversations captured by HSI between Sandoval and others included discussion of efforts to send substantial sums of narcotics-derived proceeds to her Guatemalan sources of supply.

Beginning on May 13, 2016, law enforcement monitored discussions of a shipment of narcotics coming from Mexico to Rhode Island and Massachusetts. Conversations over the next several days included identifying a location to deliver the drugs that would avoid law enforcement detection, as well as payment for the drugs. On May 19, law enforcement monitored conversations that indicated that the truck transporting the drugs to New England had been damaged in a rollover accident.

On May 22, 2016, Rhode Island State Police stopped the driver of a U-Haul truck towing a truck that had suffered significant body damage. The trooper affected a traffic stop after witnessing the vehicle weaving in and out of marked lanes. The vehicles were towed to Rhode Island State Police headquarters where a court authorized search of the vehicles result in the discovery of 6.487 kilograms of heroin stashed in the truck being towed. As the traffic stop was occurring, law enforcement intercepted a call placed by Olga Sandoval indicating that she received a call informing her that Alvarado had been stopped by law enforcement.

 

Ivan Alvarado was arrested on May 22, 2016, and Olga Sandoval and Jose Nova were arrested on May 24, 2016, on federal criminal complaints charging them with conspiracy to possess with the intent to distribute one kilogram or more of heroin. U.S. District Court Magistrate Judge Patricia A. Sullivan ordered the defendants detained in federal custody.

 

Sandoval and Nova were indicted by a federal grand jury on June 16, 2016, on charges of conspiracy to possess with the intent to distribute one kilogram or more of heroin and possession with the intent to distribute one kilogram or more of heroin. Both pleaded guilty as charged in the indictment. Nova pleaded guilty on January 26, 2017, before U.S. District Court Chief Judge William E. Smith. He is scheduled to be sentenced on July 14, 2017. A sentencing date for Sandoval has not yet been scheduled by the court.

 

The cases are being prosecuted by Assistant U.S. Attorney Ronald R. Gendron.

 

Acting United States Attorney Stephen G. Dambruch acknowledges and thanks the Rhode Island Department of the Attorney General and the DEA for their assistance in this matter.

 

 

###

Contact:

Jim Martin (401) 709-5357

email: USARI.Media@usdoj.gov

on Twitter @USAO_RI

PROVIDENCE, RI – Acting United States Attorney Stephen G. Dambruch and Philip Coyne, Special Agent-in-Charge of the Boston Office of Inspector General for the Department of Health and Human Services (HHS-OIG), today announced that Poplar Healthcare PLLC, and Poplar Healthcare Management, LLC (“Poplar”), of Memphis, TN, have entered into a civil settlement agreement with the United States, under which Poplar will pay $897,640 to resolve allegations under the federal False Claims Act. The government alleges that Poplar, directly and through a subsidiary known as GI Pathology, promoted and billed the government for diagnostic tests that the government contends were not medically necessary.

 

An investigation by the HHS-OIG and the United States Attorney’s Office for the District of Rhode Island determined that these tests, known as immunohistochemical mast cell tryptase stains, were the subject of an extensive, multi-year promotional campaign designed to promote the use of the stain, claiming that Poplar could use the test to definitively diagnose a condition known as “mast cell enterocolitis.” The Government alleged that Poplar’s promotion of the test was not consistent with FDA approval requirements, and not supported by adequate scientific evidence.

 

“Federal funding for diagnostic tests and procedures is predicated on the principle that those tests are ordered because they are medically necessary and in the best interest of patients, and not on other, inappropriate factors.” said Acting U.S. Attorney Stephen G. Dambruch. “We will continue to take aggressive action to address situations where profit, rather than the best interests of patients, drives the decision to conduct and bill for medical tests.”

“Our agency will continue to aggressively investigate health care providers that bill Medicare for unnecessary services just to boost profits,” said Special Agent in Charge Phillip Coyne, U.S. Department of Health and Human Services Office of Inspector General. "And we will not tolerate abuse of the system for personal gain, which can undermine medical decision-making and the public's trust in the health profession."

The investigation that led to the settlement began after Gordon Wang, M.D., a pathologist formerly employed by Poplar, filed a complaint against the company on behalf of the United States in the U.S. District Court for the District of Rhode Island. Under the federal False Claims Act, a private individual who has uncovered fraud against the federal government may file a suit in federal court on behalf of the United States. If the United States is successful in resolving those claims, the individual who filed the complaint may receive a share of the recovery. Dr. Wang will receive $205,841 from the proceeds of the settlement.

 

The government’s case was handled by Assistant U.S. Attorneys Zachary A. Cunha and Bethany N. Wong, with the assistance of Trial Attorney Michael E. Shaheen of the Department of Justice’s Civil Division.

 

 

###

Contact:

Jim Martin (401) 709-5357

email: USARI.Media@usdoj.gov

on Twitter @USAO_RI